These countries prefer debt to equity by large margins:

Question

Quizplus · Accepted Answer

These three countries have a cultural affinity towards debt financing. In France and Italy, there is a preference for traditional bank loans and bond issuances instead of offerings of equity. In Japan, the preference for debt goes back to the post-war era when banks played a key role in financing companies. Moreover, Japanese investors have a preference for investing in bonds due to cultural factors such as the preference for stability and income over capital gains.

These Countries Prefer Debt to Equity by Large Margins